FxWirePro: EUR/USD pauses decline, downside risk remains intact

EUR/USD has declined sharply to hit low at 1.4885 levels. However, after finding support at 1.1160 levels the pair has recovered to trade around 1.1175 levels.

• Currently the pair trying to consolidate above 1.1160 (38.2% fib levels), nevertheless short pullback towards 1.1220 levels should be viewed as selling opportunities as the resistance level at 1.1225 is set to hold the bulls from advancing further above and push the pair towards lower levels in the short term.
   
• To the upside, the strong resistance can be seen at 1.1272, a break above this level would expose the cable to next resistance level at 1.1340.
   
• To the downside immediate support can be seen at 1.1160 a break below at this level will open the door towards next level at 1.1100.
  
  Resistance Levels
  
  R1:  1.1225 (Daily high)
  
  R2: 1.1272 (50% Retracement level)        
  
  R3: 1.1340 (March 17th high)
  
  Support Levels
  
  S1: 1.1160 (38.2% Retracement level)                    
  
  S2: 1.1100 (Psychological levels)
   
• S3: 1.1025 (23.6% Retracement level)